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India Extends Onion Export Ban; Here’s the Reason Why

To control the price surge, the ban on onion export will remain in effect until March 31

Business

India Extends Onion Export Ban; Here’s the Reason Why

India Extends Onion Export Ban; Here’s the Reason Why

The Onion export ban will continue till its previously announced deadline of March 31 as the government is keen to keep prices under check and ensure domestic availability, a top official said on Tuesday.

Price Surge Triggers Onion Export Ban:

On reports of the lifting of the export ban on the commodity, the modal wholesale onion prices shot up 40.62 percent to ₹1,800 per quintal on February 19 in Lasalgoan, the country’s largest wholesale onion market, from ₹1,280 per quintal on February 17.

“Ban on onion exports has not been lifted. It is in force, and there is no change in the status,” Consumer Affairs Secretary Rohit Kumar Singh told PTI.

Focus on Domestic Availability and Affordability:

The government’s supreme priority is to ensure enough domestic availability of onion at reasonable prices to consumers, he added.

Ahead of general elections, sources said the ban is unlikely to be lifted even after March 31 as rabi (winter) onion production is expected to be lower due to less coverage of the area, especially in Maharashtra.

Assessment of Production and Coverage:

The Agriculture Ministry officials will assess the rabi onion coverage in the key growing states of Maharashtra, Madhya Pradesh, and Gujarat in the coming days.

Meanwhile, the export of onion to friendly countries is allowed on a case-to-case basis after approval from the inter-ministerial group.

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